ORCL - Embedded Expectations Analysis - 2018 01 12
- Oracle Corporation (ORCL:USA) currently trades at historical highs relative to UAFRS-based (Uniform) Earnings, with a 18.0x Uniform P/E, implying fairly bullish expectations for the firm. However, management has concerns about revenue growth, operating margin, and large clients- Specifically, management appears to be concerned about the sustainability of application and cloud deferred revenue results seen this quarter, as well as their ability to further improve non-GAAP revenue and operating margins. Moreover, management may be downplaying concerns about large companies such as Amazon moving off of Oracle in the future
Oracle provides products and services that address enterprise information technology (IT) environments. The company's products and services include applications and infrastructure offerings. The company's cloud and license business engages in the sale, marketing and delivery of its applications and infrastructure technologies through cloud and on-premise deployment models including its cloud services and license support offerings; and its cloud license and on-premise license offerings. The company's hardware business provides Oracle Engineered Systems, servers, storage, industry-specific hardware, operating systems, virtualization, management and other hardware-related software to support diverse IT environments.
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